Binance Futures Trading Bot — Report

Author: Pruthvi Jain
Date: February 10, 2026
Environment: Binance Futures Testnet
Language: Python 3.13
Repository: pruthvijain-binance-bot

1. Project Overview

This project implements a CLI-based trading bot for Binance USDT-M Futures that supports 6 order types (2 core + 4 advanced), a historical trade analysis module, and a Fear & Greed Index sentiment analyzer — all with comprehensive logging, input validation, and error handling.

The bot connects to the Binance Futures Testnet API for safe development and testing with virtual funds.

Architecture

┌───────────────────────────────────────────────────────────┐
│                       CLI Layer                           │
│   market_orders │ limit_orders │ stop_limit │ oco │ twap  │
│   grid │ historical_analysis │ fear_greed                 │
├───────────────────────────────────────────────────────────┤
│                   Validation Layer                        │
│           validators.py — 16 automated tests              │
├───────────────────────────────────────────────────────────┤
│                    API Client Layer                        │
│         client.py — BinanceClient wrapper class            │
├───────────────────────────────────────────────────────────┤
│                 Infrastructure Layer                       │
│          config.py │ logger_setup.py │ .env                │
├───────────────────────────────────────────────────────────┤
│              Binance Futures REST API                      │
│             (Testnet / Production)                         │
└───────────────────────────────────────────────────────────┘

File Structure

pruthvijain-binance-bot/
├── src/
│   ├── __init__.py                     # Package init
│   ├── config.py                       # API config, .env loading
│   ├── logger_setup.py                 # Dual logging (console + file)
│   ├── validators.py                   # Input validation (16 tests)
│   ├── client.py                       # BinanceClient API wrapper
│   ├── market_orders.py                # Market order class + CLI
│   ├── limit_orders.py                 # Limit order class + CLI
│   ├── advanced/
│   │   ├── stop_limit.py               # Stop-limit orders
│   │   ├── oco.py                      # OCO implementation
│   │   ├── twap.py                     # TWAP strategy
│   │   └── grid.py                     # Grid trading
│   └── analysis/
│       ├── historical_analysis.py      # Trade analytics
│       └── fear_greed.py               # Sentiment analysis
├── historical_data.csv                 # 211k+ trade records
├── fear_greed_index.csv                # Sentiment data (2018–2025)
├── bot.log                             # Structured execution log
├── .env.example                        # API key template
├── requirements.txt                    # Dependencies
├── report.pdf                          # This report
└── README.md                           # Setup & usage guide

2. API Connection & Setup

Before placing any orders, the bot verifies connectivity to the Binance Futures Testnet, fetches the current BTC price, and confirms the USDT balance.

Command: python -m src.client

============================================================
  BinanceClient — Connection Test
============================================================
✅ Client initialized successfully
✅ BTCUSDT current price: $69,132.10
✅ USDT Balance: 4999.89 (Testnet funds)
============================================================

3. Core Orders (Mandatory)

3.1 Market Order

Module: src/market_orders.py

A market order executes immediately at the best available price. It is the simplest and fastest way to enter or exit a position.

How it works: 1. CLI accepts symbol, side (BUY/SELL), and quantity 2. All inputs are validated before reaching the API 3. Current market price is fetched and logged as reference 4. A MARKET order is sent via the Binance Futures API 5. Execution result is logged to both console and bot.log

Command: python -m src.market_orders BTCUSDT BUY 0.002

============================================================
  Binance Futures — Market Order
============================================================
INFO - Connected to Binance Futures TESTNET
INFO - Initializing MarketOrder: BUY 0.002 BTCUSDT
INFO - Validating market order parameters...
INFO - All parameters validated successfully
INFO - Executing market order: BUY 0.002 BTCUSDT
INFO - Current BTCUSDT price: $69,136.50
INFO - Order placed successfully: ID=12158286463

✅ Market Order Executed Successfully!
   Order ID    : 12158286463
   Symbol      : BTCUSDT
   Side        : BUY
   Quantity    : 0.002
   Status      : NEW

Binance Testnet — Position confirmation after market order execution:

3.2 Limit Order

Module: src/limit_orders.py

A limit order is placed at a specific price and waits in the order book until the market reaches that price. It uses Good-Till-Cancel (GTC) time-in-force by default.

How it works: 1. CLI accepts symbol, side, quantity, and price 2. Validates the target price is realistic relative to current market 3. Places a LIMIT order with timeInForce=GTC 4. Order sits in the order book until filled or cancelled

Command: python -m src.limit_orders BTCUSDT BUY 0.002 60000

============================================================
  Binance Futures — Limit Order
============================================================
INFO - Connected to Binance Futures TESTNET
INFO - Initializing LimitOrder: BUY 0.002 BTCUSDT @ $60,000.00 (TIF: GTC)
INFO - Validating limit order parameters...
INFO - All parameters validated successfully
INFO - Order placed successfully: ID=12158286650, Type=LIMIT, Status=NEW

✅ Limit Order Placed Successfully!
   Order ID    : 12158286650
   Symbol      : BTCUSDT
   Side        : BUY
   Quantity    : 0.002
   Price       : $60,000.00
   TIF         : GTC
   Status      : NEW

   ℹ️  Order is waiting in the order book.
      It will fill when the market reaches $60,000.00.

Binance Testnet — Open Orders tab showing limit order waiting at $60,000:

4. Advanced Orders (Bonus — Higher Priority in Evaluation)

4.1 Stop-Limit Order

Module: src/advanced/stop_limit.py

A conditional order that triggers a limit order when a specified stop price is reached. Used for stop-loss orders or breakout entries.

How it works: 1. Validates stop price logic (stop must be below market for SELL, above for BUY) 2. Places a STOP order with both stopPrice and price parameters 3. When market hits the stop price, a limit order is automatically activated

Command:

# Stop-loss: sell BTC if price drops to $58,000 (limit at $57,800)
python -m src.advanced.stop_limit BTCUSDT SELL 0.001 58000 57800

# Breakout buy above $72,000 (limit at $72,200)
python -m src.advanced.stop_limit BTCUSDT BUY 0.001 72000 72200

4.2 OCO — One-Cancels-the-Other

Module: src/advanced/oco.py

Places two linked orders simultaneously — a take-profit and a stop-loss. When one fills, the other is automatically cancelled. Essential for risk management.

How it works: 1. Places a TAKE_PROFIT order at the target price 2. Places a STOP order at the stop-loss price 3. Monitors both orders in a polling loop 4. When one is filled, the other is cancelled automatically

Command:

# Take-profit at $75,000 OR stop-loss at $65,000
python -m src.advanced.oco BTCUSDT SELL 0.001 75000 65000

4.3 TWAP — Time-Weighted Average Price

Module: src/advanced/twap.py

Splits a large order into smaller equal chunks and executes each at regular time intervals. This minimizes market impact by spreading execution over time.

How it works: 1. Divides total quantity into N equal chunks 2. Executes each chunk as a market order 3. Waits a calculated interval between each execution 4. Reports the average fill price across all chunks

Command:

# Buy 0.01 BTC over 10 minutes in 5 chunks (0.002 BTC every 2 minutes)
python -m src.advanced.twap BTCUSDT BUY 0.01 600 5

4.4 Grid Trading Strategy

Module: src/advanced/grid.py

Places a grid of buy and sell limit orders within a defined price range. Designed for range-bound markets where price oscillates between support and resistance levels.

How it works: 1. Divides the price range into N evenly spaced grid levels 2. Places BUY orders at levels below the current price 3. Places SELL orders at levels above the current price 4. When a buy fills, a sell is placed above (and vice versa) — capturing profit from each oscillation

Command:

# Grid from $65,000 to $72,000 with 10 levels, 0.001 BTC per level
python -m src.advanced.grid BTCUSDT 65000 72000 10 0.001

5. Bonus Integrations

5.1 Historical Trade Data Analysis

Module: src/analysis/historical_analysis.py
Data source: historical_data.csv — 211,224 trade execution records across 246 coins

This module loads and analyzes a large historical trade dataset, providing insights into past trading performance including total volume, per-coin PnL, win rates, and fee analysis.

Command: python -m src.analysis.historical_analysis --top 5

=================================================================
  📊 Historical Trade Analysis Report
=================================================================
  Total Trades   : 211,224
  Unique Coins   : 246
  Total Volume   : $1,191,187,442.46
  Realized PnL   : $10,296,958.94
  Total Fees     : $245,857.72
  Net PnL        : 🟢 $10,051,101.22
  Buy/Sell Split : 102,696 / 108,528

─────────────────────────────────────────────────────────────
  Top 5 Coins by Volume
─────────────────────────────────────────────────────────────
  Coin         Trades         Volume        Net PnL    Win%
  ────────── ──────── ────────────── ────────────── ───────
  BTC          26,064 $644,232,116.63    $728,820.51   83.1%
  HYPE         68,005 $141,990,206.05  $1,923,122.67   88.2%
  SOL          10,691 $125,074,752.06  $1,611,599.62   83.9%
  ETH          11,158 $118,280,994.07  $1,296,887.54   76.8%
  @107         29,992  $55,760,858.63  $2,777,959.69   81.7%
=================================================================

5.2 Fear & Greed Index Analysis

Module: src/analysis/fear_greed.py
Data source: fear_greed_index.csv — 2,644 daily sentiment readings (Feb 2018 – May 2025)

The Crypto Fear & Greed Index measures market sentiment on a 0–100 scale. This module provides sentiment statistics, distribution charts, and generates contrarian trading signals based on the principle: "Be fearful when others are greedy, and greedy when others are fearful."

Command: python -m src.analysis.fear_greed --signal

============================================================
  🌡️  Crypto Fear & Greed Index Report
============================================================
  Latest Reading : 67/100 — Greed
  Date           : 2025-05-02
  Period         : 2018-02-01 → 2025-05-02
  Total Days     : 2,644

────────────────────────────────────────────────────────────
  Statistics
────────────────────────────────────────────────────────────
  Average        : 47.0/100
  Min            : 5/100      Max : 95/100
  Extreme Fear   : 508 days (19.2%)
  Extreme Greed  : 326 days (12.3%)

────────────────────────────────────────────────────────────
  Sentiment Distribution
────────────────────────────────────────────────────────────
  Extreme Fear     508 ( 19.2%) █████████
  Fear             781 ( 29.5%) ██████████████
  Neutral          396 ( 15.0%) ███████
  Greed            633 ( 23.9%) ███████████
  Extreme Greed    326 ( 12.3%) ██████

────────────────────────────────────────────────────────────
  Contrarian Trading Signal
────────────────────────────────────────────────────────────
  🟡 CAUTION — Market is greedy (consider taking profits)

  Recent 7-Day Trend
────────────────────────────────────────────────────────────
  2025-04-26   65/100  ▓▓▓▓▓▓▓▓▓▓▓▓▓  Greed
  2025-04-27   61/100  ▓▓▓▓▓▓▓▓▓▓▓▓  Greed
  2025-04-28   54/100  ▓▓▓▓▓▓▓▓▓▓  Neutral
  2025-04-29   60/100  ▓▓▓▓▓▓▓▓▓▓▓▓  Greed
  2025-04-30   56/100  ▓▓▓▓▓▓▓▓▓▓▓  Greed
  2025-05-01   53/100  ▓▓▓▓▓▓▓▓▓▓  Neutral
  2025-05-02   67/100  ▓▓▓▓▓▓▓▓▓▓▓▓▓  Greed
============================================================

6. Validation & Logging

6.1 Input Validation

Module: src/validators.py

All user inputs are validated before reaching the Binance API using four validator functions: - validate_symbol() — Ensures uppercase USDT-M pair format - validate_side() — Accepts only BUY or SELL - validate_quantity() — Must be positive number - validate_stop_price() — Validates stop price relative to market and side

The module includes a built-in self-test suite with 16 test cases covering both valid and invalid inputs:

============================================================
  Validator Module — Self-Test
============================================================
  ✅ PASS: validate_symbol('BTCUSDT') → True
  ✅ PASS: validate_symbol('ETHUSDT') → True
  ✅ PASS: validate_side('BUY') → True
  ✅ PASS: validate_side('SELL') → True
  ✅ PASS: validate_quantity(0.001) → True
  ✅ PASS: validate_quantity(100) → True
  ✅ PASS: validate_price(50000.50) → True
  ✅ PASS: validate_stop_price(49000, 50000, 'SELL') → True
  ✅ PASS: validate_stop_price(51000, 50000, 'BUY') → True
  ✅ PASS: validate_symbol('btcusdt') → Correctly raised ValueError
  ✅ PASS: validate_symbol('BTCETH') → Correctly raised ValueError
  ✅ PASS: validate_side('HOLD') → Correctly raised ValueError
  ✅ PASS: validate_quantity(-1) → Correctly raised ValueError
  ✅ PASS: validate_quantity(0) → Correctly raised ValueError
  ✅ PASS: validate_price(-100) → Correctly raised ValueError
  ✅ PASS: validate_stop_price(51000, 50000, 'SELL') → Correctly raised ValueError

  Results: 16 passed, 0 failed
============================================================

6.2 Structured Logging

Log file: bot.log

All operations are logged to two destinations: - Console — INFO level and above (real-time monitoring) - bot.log — DEBUG level and above (detailed audit trail)

Every log entry includes a timestamp, module name, log level, and message:

Successful order log:

2026-02-10 12:09:42 - src.client - INFO - Connected to Binance Futures TESTNET
2026-02-10 12:09:42 - src.client - INFO - BinanceClient initialized successfully
2026-02-10 12:09:42 - __main__ - INFO - Initializing MarketOrder: BUY 0.002 BTCUSDT
2026-02-10 12:09:42 - __main__ - INFO - Validating market order parameters...
2026-02-10 12:09:42 - __main__ - INFO - All parameters validated successfully
2026-02-10 12:09:43 - src.client - INFO - Order placed successfully: ID=12158286463

Error log with full traceback:

2026-02-10 11:50:12 - src.client - ERROR - API error placing order:
    Order's notional must be no smaller than 100 (Code: -4164)
Traceback (most recent call last):
  File "src/client.py", line 257, in place_order
    order = self.client.futures_create_order(**params)
binance.exceptions.BinanceAPIException: APIError(code=-4164):
    Order's notional must be no smaller than 100

7. Enhanced CLI — Interactive Menu (Bonus)

Entry point: cli.py

As a bonus feature, we built a unified CLI that provides two modes of operation:

Direct Mode

python cli.py market BTCUSDT BUY 0.002
python cli.py limit  BTCUSDT BUY 0.002 60000
python cli.py stop   BTCUSDT SELL 0.002 58000 57800

Interactive Mode

python cli.py

The interactive menu provides: - Numbered menu for all 6 order types + analysis tools - Colored terminal output using ANSI escape codes - Input validation with inline error messages and re-prompts - Order confirmation before execution (safety check) - Account viewer showing balance, positions, and unrealized PnL - Detailed order response displaying: orderId, status, executedQty, avgPrice

8. Binance Testnet — Order History

The following screenshot from the Binance Futures Testnet shows all orders placed during testing, confirming successful API integration:

9. Summary

Dependencies

python-binance     # Binance API wrapper
python-dotenv      # .env file loading
requests           # HTTP client

End of report.